Air China and Cathay Pacific launch cargo JV

Air China and Cathay Pacific Airways have consolidated their cargo businesses with the launch of a new joint venture - Air China Cargo.

Air China will hold 51% of the shares in the JV's Cathay Pacific will hold a 25% equity interest and a 24% economic interest. Air China Cargo? board of directors comprises four Air China members and three Cathay Pacific members. After the consolidation, Air China Cargo's fleet will include twelve B747-400 aircraft.

The JV's operation centre will be based in Shanghai, and will satisfy the market demands of the Yangtze River Delta, which makes up two-thirds of Air China's service area.

In addition, the belly space provided through Air China's extensive domestic and international passenger network will also boost Air China Cargo? global business development. The goal is to develop the JV into a China-based air cargo airline with international competitiveness.